The 2006 edition of the Nanotech Report from Lux Research was published recently. This is something I make a point to read every year, even if only a brief summary is available for free.

Some of the key findings that are noteworthy :

1) Nanotechnology R&D reached $9.6 billion in 2005, up 10% from 2004. This is unremarkable when one considers that the world economy grew 7-8% in nominal terms in 2005, but upon closer examination of the subsets of R&D, corporate R&D and venture capital grew 18% in 2005 to hit $5 billion. This means that many technologies are finally graduating from basic research laboratories and are being turned into products, and that investment in nanotechnology is now possible. This also confirms my estimation that the inflection point of commercial nanotechnology was in 2005.

But a deeper concept worth internalizing is how an extension of the Impact of Computing will manifest itself. If the quality of nanotechnology per dollar increases at the same 58% annual rate as Moore's Law (a modest assumption), combining this qualitative improvement rate with a dollar growth of 64% a year yields an effective Impact of Nanotechnology of (1.58)*(1.64) = 160% per year. As the base gets larger, this will become very visible.

3) Nanotech-enabled products on the market today command a price premium of 11% over traditional equivalents, even if the nanotechnology is not directly noticed.

One of the most popular dinner party conversation topics is the possibility that the United States will be joined or even surpassed as a superpower by another nation, such as China. China has some very smart people, a vast land area, and over four times the population of the US, so it should catch up easily, right? Let's assess the what makes a superpower, and what it would take for China to match the US on each pillar of superpowerdom.

A genuine superpower does not merely have military and political influence, but also must be at the top of the economic, scientific, and cultural pyramids. Thus, the Soviet Union was only a partial superpower, and the most recent genuine superpower before the United States was the British Empire.

To match the US by 2030, China would have to :

1) Have an economy near the size of the US economy. If the US grows by 3.5% a year for the next 25 years, it will be $30 trillion in 2006 dollars by then. Note that this is a modest assumption for the US, given the accelerating nature of economic growth, but also note that world GDP only grows about 4% a year, and this might at most be 5% a year by 2030. China, with an economy of $2.2 trillion in nominal (not PPP) terms, would have to grow at 12% a year for the next 25 years straight to achieve the same size, which is already faster than its current 9-10% rate, if even that can be sustained for so long (no country, let alone a large one, has grown at more than 8% over such a long period). In other words, the progress that the US economy would make from 1945 to 2030 (85 years) would have to be achieved by China in just the 25 years from 2005 to 2030. Even then, this is just the total GDP, not per capita GDP, which would still be merely a fourth of America's.

2) Create original consumer brands that are household names everywhere in the world (including in America), such as Coca-Cola, Nike, McDonalds, Citigroup, Xerox, Microsoft, or Google. Europe and Japan have created a few brands in a few select industries, but China currently has none. Observing how many American brand logos have populated billboards and sporting events in developing nations over just the last 15 years, one might argue that US dominance has even increased by this measure.

3) Have a military capable of waging wars anywhere in the globe (even if it does not actually wage any). Part of the opposition that anti-Americans have to the US wars in Afghanistan and Iraq is the envy arising from the US being the only country with the means to invade multiple medium-size countries in other continents and still sustain very few casualties. No other country currently is even near having the ability to project military power with such force and range. Mere nuclear weapons are no substitute for this. The inability of the rest of the world to do anything to halt genocide in Darfur is evidence of how such problems can only get addressed if and when America addresses them.

4) Have major universities that are household names, that many of the worlds top students aspire to attend. 17 of the world's top 20 universities are in the US. Until top students in Europe, India, and even the US are filling out an application for a Chinese university alongside those of Harvard, Stanford, MIT, or Cambridge, China is not going to match the US in the knowledge economy. This also represents the obstacles China has to overcome to successfully conduct impactful scientific research.

5) Attract the best and brightest to immigrate into China, where they can expect to live a good life in Chinese society. The US effectively receives a subsidy of $100 to $200 billion a year, as people educated at the expense of another nation immigrate here and promptly participate in the workforce. As smart as people within China are, unless they can attract non-Chinese talent that is otherwise going to the US, and even talented Americans, they will not have the same intellectual and psychological cross-pollination, and hence miss out on those economic benefits. The small matter of people not wanting to move into a country that is not a democracy also has to be resolved.

6) Become the nation that produces the new inventions and corporations that are adopted by the mass market into their daily lives. From the telephone and airplane over a century ago, America has been the engine of almost all technological progress. Despite the fears of innovation going overseas, the big new technologies and influential applications continue to emerge from companies headquartered in the United States. Just in the last two years, Google emerged as the next super-lucrative company (before eBay and Yahoo slightly earlier), and the American-dominated 'blogosphere' emerged as a powerful force of information and media.

7) Be the leader in entertainment and culture. China's film industry greatly lags India's, let alone America's. We hear about piracy of American music and films in China, which tells us exactly what the world order is. When American teenagers are actively pirating music and movies made in China, only then will the US have been surpassed in this area. Take a moment to think how distant this scenario is from current reality.

8) Be the nation that engineers many of the greatest moments of human accomplishment. The USSR was ahead of the US in the space race at first, until President Kennedy decided in 1961 to put a man on the moon by 1969. While this mission initially seemed to be unnecessary and expensive, the optimism and pride brought to anti-Communist people worldwide was so inspirational that it accelerated many other forms of technological progress and brought economic growth to free-market countries. This eventually led to a global exodus from socialism altogether, as the pessimism necessary for socialism to exist became harder to enforce. People from many nations still feel pride from humanity having set foot on the Moon, something which America made possible.

China currently has plans to put a man on the moon by 2024. While being only the second country to achieve this would certainly be prestigious, it would still be 55 years after the United States achieved the same thing. That is not quite the trajectory it would take to approach the superpowerdom of the US by 2030. If China puts a man on Mars before the US, I may change my opinion on this point, but the odds of that happening are not high.

9) Be the nation expected to thanklessly use its own resources to solve many of the world's problems. If the US donates $15 billion in aid to Africa, the first reaction from critics is that the US did not donate enough. On the other hand, few even consider asking China to donate aid to Africa. After the 2004 Indian Ocean tsunami, the fashionable question was why the US did not donate even more and sooner, rather than why China did not donate more, despite being geographically much closer. Ask yourself this - if an asteroid were on a collision course with the Earth, which country's technology would the world depend on to detect it, and then destroy or divert it? Until China is relied upon to an equal degree, it is not in the same league.

10) Adapt to the underappreciated burden of superpowerdom - the huge double standards that a benign superpower must withstand in that role. America is still condemned for slavery that ended 140 years ago, even by nations that have done far worse things more recently than that. Is China prepared to apologize for Tianenmen Square, the genocide in Tibet, the 30 million who perished during the Great Leap Forward, and the suppression of news about SARS,every day for the next century? Is China remotely prepared for being blamed for inaction towards genocide in Darfur while simultaneously being condemned for non-deadly prison abuse in a time of war against opponents who follow no rules of engagement? The amount of unfairness China would have to withstand to truly achieve political parity with America might be prohibitive given China's history over the last 60 years. Furthermore, China being held to the superpower standard would simultaneously reduce the burden that the US currently bears alone, allowing the US to operate with less opposition than it experiences today.

Of the ten points above, Europe and Japan have tried for decades, and have only achieved parity with the US on maybe two of these dimensions at most. China will surpass Europe and Japan by 2030 by achieving perhaps two or possibly even three out of these ten points, but attaining all ten is something I am willing to confidently bet against. The dream of anti-Americans who relish the prospect of any nation, even a non-democratic one, surpassing the US is still a very distant one.

A point that many bring up is that empires have always risen and fallen throughout history. This is partly true, but note that the Roman Empire lasted for over 1000 years after its peak. Also note that the British Empire never actually collapsed since Britain is still one of the the top seven countries in the world today, and the English language is the most widely spoken in the world. Britain was merely surpassed by its descendant, with whom it shares a symbiotic relationship. The US can expect the same if it is finally surpassed, at some point much later than 2030 and probably not before the Technological Singularity, which would make the debate moot.

That writing this article is even worthwhile is a tribute to how far China has come and how much it might achieve, but nonetheless, there is no other country that will be a superpower on par with the US by 2030. This is one of the safest predictions The Futurist can make.

Joe Katzman at Winds of Change has an amazing article on the disastrous confluence of forces that have brought Europe to the precipice of disaster, and threaten to take the United States along the same path unless we learn from Europe's mistakes. Of particular note is the observation that a society is decadant when futility is accepted, and the absurd seems normal.

Here's an idea : The Pentagon can offer a program where an aspiring young man (or woman) from Mexico or elsewhere can earn US citizenship by serving for 6 years in the US Military, provided their service is with honor. This is essentially a new class of visa, just like an H-1B, but is open to anyone who is young enough, able bodied enough, and determined enough to make this sacrifice to earn a US passport.

The military will have to start with a small intake for this program, and eventually build up the infrastucture and processes to take in a quota of around 200,000 a year. The US will have to organize bi-lingual officers (of which there are many) to manage these divisions of troops at first, and also organize some classes in which to teach them basic English as part of their basic training, but this is not too difficult. After these classes during basic training, however, these troops should be mixed among US born troops. Those who violate the miltary code of conduct should be discharged, and deported.

This is attractive for the illegal immigrants, because :

1) Being an enlisted soldier in the US military carries a salary of around $20,000 a year, plus several benefits that continue after military service ends. It is a more attractive package than they are currently getting by doing unskilled manual labor in the US.

2) When they emerge as US citizens after their 6 years of service, they will know a fair amount of English, and will be able to get much better jobs in the US, than they could have gotten before their service. They could even go to college.

3) The soldiers that do well may choose to continue their military career path, and rise up to higher officer ranks over time.

This is very attractive for the United States, because :

1) It will be a way to separate out which illegals from Mexico truly want to become Americans and contribute positively to American society. This will be a structure through which they can learn English and assimilate in American society with honor. This may even lead to some of them going to college, and contributing to the US economy at a higher level.

2) It will be a way for the US to boost troop levels, in case a major military operation is upon the US in the future.

3) It will irritate the corrupt elite in Mexico, as the people who otherwise were a burden on the public services in the US will now be strengthening America, and may even gain the political clout to influence change in Mexico in the more distant future.

4) It will infuriate military-hating anti-Americans who deride this as a scheme to cultivate cannon fodder, even as Mexicans who participate will have done so by choice. The same anti-Americans who were previously advocates of unrestricted illegal immigration will now oppose this, and will alienate them from Mexicans who were previously easily manipulated by these extremists.

This program is far from perfect, and many more details have to be worked out. But among available options, this could be a very attractive one. At the very least, there should be a program where people who want to risk their lives for America can earn US citizenship through a clearly defined path. I suspect the number of people who sign up would be large.